Teaching Kids About Money

How to Teach Saving Money for Kids

Find your opportunity in the directories, or get listed.

Party Plan Directory
MLM Directory
Work with Me

Teaching Kids About Money - How to Teach Saving Money for Kids

teaching kids about money
Teaching kids about money is a very important lesson for all stay at home moms.

Saving money for kids is something you should teach them now, right this moment, regardless of age.

Here are a few methods of learning about money for kids of a variety of ages.

"Mommy, I want this! Mommy, I want this!"

Have you ever felt yourself cringe at the sound of your name in the grocery store because you know that your son/daughter is going to ask for something for the millionth time, and for the millionth time the answer will be "No"?

This is a common problem that can be laughable and frustrating.

Kids don't understand that there isn't an endless supply of money in the bank.

Let's face it.

Some adults don't get that concept either!

Possibly this occurs because teaching kids about money isn't the most important thing on our already full plates.

However, it should be on that plate.

We are in such tough economic times that teaching kids about money in a real world way should be as mandatory at home as it is in the school.

Saving money for kids doesn't have to be something that is overwhelming or confusing. Keep it simple and to the point. Here are a few suggestions to help you get started.

Practice What You Preach

It's one thing to say it's important to make good choices, but another to do them. If you are teaching kids about money, then you must lead by example.

Shopping frugally for clothes and explaining about clearance/sales racks can be a great start in showing kids how to manage money. Take them to a thrift store and let them explore all the great finds there.

Compare your sale prices with the cost of things at regular price and have your child count what the difference is. They'll be amazed at the extra change in their pockets! True, they may want to go buy other things with that change, but recognizing the value in shopping frugally is a good start to teaching kids about money.

Let Them Learn From Your Mistakes

Saving money for kids doesn't make sense to them unless they can see how it affects their personal world. What can be more personal than a peek into your bank account?

If you are in financial straits, it's not a bad idea to let your kids know that, if their ages are appropriate for this type of real-life information.

Of course, you want to be careful about causing them unnecessary worry, but at the same time, a good dose of reality could make all the difference in how they spend money in the future.

Have you made a few financial mistakes? Share it with your older children and explain what you've learned. No one said teaching kids about money would be easy, but if being truthful about your finances helps them escape similar troubles in the future, then what's a little embarrassment? Let them learn from your mistakes.

Money Of Their Own

A good tactic on saving money for kids is to let them have a little of their own. Consider an allowance or have them earn the money in some way. Teaching kids about money in this way fosters a sense of control, independence, and the ability to make their own mistakes. Hopefully, with your guidance, they'll learn from them!

Walk A Mile in Mommy's Shoes

Let them play house and gain real world experience about budgeting. On paper, give them a fictitious salary, the average in your area. To most kids this will seem astronomical.

Before they get too carried away, have them look through the paper and "rent" a house. Then add in utilities, cell phones, vehicle payments, gas, etc. They'll see how quickly their big salary goes away.

Take the kids shopping and have them pay attention to prices. This can be a great financial experiment and brings home many points about saving money for kids.

How Credit Cards Work

This is a must when it comes to teaching kids about money. Consumer debt can easily get out of control. Many people don't understand how interest rates work and how they add to your monthly bill.

Teaching kids about this common problem at an early age may prevent them from falling into some of the same habits as their parents. Have kids figure out how much they would pay for a big purchase ($200-500) item they want on a credit card at 8, 10, and 12% interest paying minimum purchases.

Show them how long it takes to pay off, and relate it to their allowance, by saying "It would take you a year and a half to pay back the interest but only 8 months to save for it in the first place."

Start a Savings Account

Saving money for kids is something parents do. But how about changing that pattern and getting your kids to save their own money? Have them start a savings account for big purchases, as well as, for their futures.

Make sure they are saving a minimum of 10% of their earnings. This will be a habit they carry into the future!

Donate Money to a Cause

Getting kids involved in donating to charity is a positive thing and can help make them into better adults. Choose a charity that means something to your child and then have them donate to that charity on a regular basis. Challenge them to find ways to increase that contribution by involving others.

Website Fun

Here are a few websites designed to help saving money for kids a snap!

Planet Orange
At this fun interactive site, kids learn all about earning, spending, and saving money. With cool graphics and lots of real world situations, your child is sure to be engaged!

Kids Bank.Com
This site teaches all about banking and banking services. It's a great place to learn about savings, interests, and checking.

Rich Kid Smart Kid
The kids will find many games at this site that teaches them about money and how to be financially smart.

Biz Kids
Part of a public TV show, this site encourages kids to save and earn money, but it passes along business tips, too. Perfect for your little Donald Trump in the making!

Savings Quest
This site teaches kids how to save money by providing them with a "job" and budget. During the course of the game, kids are given situations where they will have to decide how to spend their money and still meet their savings goal.

Though it may be hard at times, stay at home moms understand the importance of being financially careful. Don't be afraid to share your knowledge with your children. Teaching kids about money can be fun and is a skill they will use all their lives!
What ways have you taught your kids about money?

tell us what you think

Related Pages

  • Why Save Money?
  • Inspirational Saving Money Quotes
  • 10 Easy Ways to Save Money
  • Giving Back to Your Community
  • Online Checking Accounts
  • Planning for Retirement
  • Invest Your Savings
  • Save for College Education
  • Do You Have Unclaimed Funds?
  • Home==>Reduce Expenses==>Teaching Kids About Money

    tell us what you think

    Hot Products

    Money Saving Mama

    Couponing: The Extreme Video Course

    Meal Planning Template Kit

    Menu Board Templates

    Money Making Mama

    How to Be an A-List Mystery Shopper

    How to Become a Gestational Surrogate Mother

    On Amazon Kindle

    101 Almost Free Things to Do With Your Kids This Summer

    Meal Plan: Mom's Guide to Saving Money Time Sanity (Money Saving Mama)


    Advertise on Stay a Stay at Home Mom

    Couponing Course

    14 part video course to learn couponing, including workbook and access to resources.

    Surrogate Mother

    Learn how to become a gestational surrogate mother. Lawyers, fees, matching.

    Work w/ Rayven

    Join Rayven Perkins in her network marketing business. Get started for under $20.

    Theme System

    Do you have a theme book for your parties? Increase bookings at your next show.

    Mystery Shopping

    Training on how to make the most of mystery shopping, how to get higher-paying jobs.

    $5,000 Challenge

    Have you joined the $5,000 Money Saving Mama Challenge yet? Learn how to save $5,000+.

    top of the page

    Copyright © 2015 All rights reserved